KARACHI: The benchmark index of the Paki­stan Stock Exchange (PSX) continued its upw­ard journey in the outgoing week.

The KSE-100 index mai­n­tained its unrelenting bullish momentum to fina­lly settle at an all-time high of 61,691 points after gaining 4.4 per cent on a week-on-week basis, accor­ding to AKD Secur­ities Ltd.

Although the market participation witnessed a dip of 6.7pc from the preceding week, investors remained engaged amid the historic rally with the average traded volume of 612.5 million shares.

The impetus of post-Int­e­r­national Monetary Fund (IMF) review success sustained with a notable increase in foreign inflows into the market. Net foreign buying hit its six-year high of $35m in November.

Furthermore, investment agreements with Kuwait and the United Arab Emirates, $3 billion deposit extension by Saudi Arabia, $2bn expected inflow from the World Bank in 2023-24, and above-target tax collection to the tune of Rs3.48bn in July-November bolstered market sentiments.

Furthermore, the trade deficit for November witnessed a 13pc month-on-month decline to settle at $1.9bn versus $2.2bn in the preceding month.

Meanwhile, the week concluded with an elevated inflation reading of 29.2pc year-on-year, exacerbated by the recent gas price hike.

On the currency front, the rupee appreciated against the dollar to close at 284.97 after gaining 0.1pc from a week ago.

Additionally, foreign exchange reserves of the State Bank of Pakistan clocked in at $77m higher at $7.3bn.

Sector-wise, buying was witnessed across the board as every sector, except REITs, closed in the green. Emerging as top performers during the week were close-end mutual funds, woollen, tobacco and automobile assemblers, up 66.5pc, 54.8pc, 43.4pc and 39.9pc, respectively.

Flow-wise, banks rema­ined major buyers, netting $14.9m, while major selling was by “other organisations” that amounted to $1.49m.

Company-wise, top performers during the outgoing week were DG Khan Cement Ltd (23.1pc), Atlas Honda Ltd (22.3pc), Millat Tractors Ltd (20.1pc), Pakistan Services Ltd (18.5pc) and Friesl­and Campina Engro Pakistan Ltd (14.7pc).

“Going forward, we maintain an optimistic outlook on the market. We believe the present rally will continue, albeit with episodes of profit-taking,” it said, adding that its stance stems from the positive conclusion to the IMF’s review amidst improving macroeconomic indicators and fading uncertainty on the political front.

Published in Dawn, December 3rd, 2023